Sony forecast a yearly loss of 230 billion yen ($2.1 billion) in September 2014, but a strong showing in the last three months of 2014 has allowed the manufacturer to cut the net loss forecast for the year to 170 billion yen ($1.4 billion). The company recorded a net profit of 89 billion yen ($756 million) in the last quarter, an increase of 238 percent from the same time a year ago.

Sony's operating profit for the quarter is predicted to be 178.3 billion yen ($1.51 billion), double what the manufacturer managed a year ago. Overall revenue is set to rise 6 percent year-on-year with sales totaling 2.56 trillion yen ($21.7 billion). Sony's mobile unit witnessed sales of 12 million during the quarter, an increase of 27 percent from a year earlier, and an operating profit of $80 million.

While the mobile division is seeing a year-on-year increase in sales numbers, Sony has announced that it would be undertaking a restructuring effort that would see a total of 2,100 employees being laid off. Hiroki Totoki, who leads Sony's mobile division, has mentioned that the manufacturer would be streamlining its smartphone lineup in 2015.

Sony has predicted a year-on-year increase of 17 percent in revenue to 531.5 billion yen ($4.4 billion) for the gaming division, mainly from the sales of the PlayStation 4 during the holiday season. Revenue from the image sensor business is expected to be 292.9 billion yen ($2.42 billion), an increase of 38.6 percent.

Finally, the organization has mentioned that it is setting aside $15 million in "remedial costs" for the Sony Pictures hack late last year.

Reader comments

Picked up a z3v over the holidays. Traded in my note 3 for it. Couldn't be happier. Wireless charging, great front facing speakers, dedicated camera button, and an SD card slot sold me. Only thing that bothered me was that this thing is like holding a stick of butter. Immediately purchased a case for it. I was surprised at how long the battery lasts.

That movie that came out recently, The Equalizer, all the scenes that showed smartphones were all Sony. At least they're starting to improve their marketing in North America, but they still have a lot of work to do.

By the way, my wife has a Z3 and it's amazing. Great display, excellent battery life, and just a joy to use. I may just pick up a Z4 this year, depending on how it turns out.

I left windows phone(Lumia 928) for a Sony xperia z3v.. Love it! Never had a Sony phone, but was encouraged by a friend to try it. The os is smooth, the battery is awesome, nice camera, waterproof, etc. I'm really enjoying my new phone... Props to Sony!

I love my Z3 compact. I had to buy thru Sony to use on T-Mobile here in Chicago. I have never had such good battery life in a phone. Its insane. I can go all day with heavy use and still have enough to make it another day if I had too.
Coming from a Moto X I am also happy with Sony's light touches to Android and great camera software.

Yesterday, I left the hotel at 07:30 and didn't get home until almost midnight, and had 30% when I got home, despite really heavy use all day. Unless I were to use it for streaming multiple movies or something, I am pretty confident that I can't kill this thing in a day.

Their phone are way to expensive. And way too much glass and unnecessary shutter button with mundane flaps. Just saying that I don't appreciate the design of Sony phones. Go lighter on the skin as well.

The Z3 is at the top end, and I think perhaps a little overpriced. The Compact on the other hand offers plenty of bang per buck, especially if a huge screen is not a requirement. We have both in our household and Mrs K loves her Z3 - especially only having to charge every 3rd day despite using it daily as a teaching aid.

Most reviewers agree that the skin is reasonably light. Better than Touchwiz anyway!

Once you have had a phone with a hardware shutter button you just don't want to go back.

The minimal design is lovely, IMO, but the Z3's top and bottom bezels are bigger than they need to be.

Get a magnetic charger and the flaps need never be opened. Also the waterproofing works as I can testify.

They are not perfect devices - there are a couple of minor annoyances for me. For example, the camera is good but requires a bit of patience to learn, and OIS would really help. Mrs K has managed some great night time photos of the moon, and stars with the Z3, but she's had to work at it, which is not ideal in a camera phone.

All in all I am pleased that Sony has been rewarded with decent sales of what are some very nice devices. No device is perfect yet, but neither of us can think of one that suits us better than our Zs for the moment.

Yeah, the dedicated camera button is a HUGE selling point. Especially since Sony wisely uses a two-step shutter button. That makes a huge difference when setting up shots. Also, I like that you can long-press the camera button to launch the camera even when the device is locked and the screen's off. Trimming a few seconds off of the camera launch process is a big deal if you're trying to take a picture of, say, a puppy who has a little too much energy and won't sit still for two damn seconds. I'M LOOKING AT YOU, CHANI.

The minute I was looking for a new smartphone and I held a Z3 I knew it was the phone I wanted. It's simply beautiful.

Being a recent owner of the Z3 I'm rather startled it doesn't get better press. Sure it's not probably the be all end all of phone specs but it's a nice all rounder and I'm not surprised Sony has done so well in selling them.

@otacnlk here in the UK I see a lot of Sony phones. They're pretty big in the EU in general.

My advice to Sony, ditch the proprietary charger, put wireless built in and update the camera lens and software and you'll be king.

Me and my Z3Compact agree with you on the Qi. As for the camera, they just need updated software and to put OIS in it.

But yes, Xperia phones are very popular here in Europe. Actually, Sony is the third biggest OEM after Apple and Samsung having take Nokia's place. And rightfully so. Not only Sony vastly improved Ericsson's crappy devices after taking over, they're building amazing devices with a build quality that'd make Nokia proud.

I agree, after Nokia Sony is the brand that I would buy. The problem is here in the USA the Z3 is so expensive. I don't subsidize my phones I prefer to buy unlocked phones, I have a good plan that isn't so expensive and I don't have a contract. Looking forward to seeing the Z4 and Z5, I'll buy the Z5 or the Nokia in 2016.

Sony phones in the US aren't really "expensive". Those are the normal prices of flagship devices. In Europe, a flagship device from any OEM costs around 600€ which is close to US$800. The iPhone costs near US$1000.
The problem with the US is that Americans, because of the way your market works, have grown to think that a US$400 phone is already expensive because you're used to the subsidies and the contracts.

In Europe people are accustomed to phones costing those high prices. Same with the rest of the World. Actually, it's precisely because the rest of the World doesn't work like the US that there's even budget phones. If everything worked as it does in the US, OEMs wouldn't waste money on budget phones since consumers would be paying for the high end phones they have in 2 year contracts.

I'm looking forward to see the Z4 but only LATER this year. Sony has to stop the 6 months cycle and just promote the Z3. People will not be buying phones every 6 months when, as I said, the phones are that "expensive". The good sales of the Z3 are also boosted by people upgrading from the Z and Z1.

I've moved to Sony and I don't regret it one bit.
Though we all know, come 2016, I'll be jumping on the first phone Nokia releases.

I went to the Sony store here in NYC when the Z3 first came out and it was over 800 dollars, then again it could have been overpriced at the Sony store. I agree with you we are used to contracts and subsidies and I can't stand it, This is the reason why the iPhone is so popular here, if we had to pay full price Apple would probably sell a third of what they sell. We pay more long term reason being that Americans are big on "instant gratification". I'd rather pay full price for the phone upfront and have a cheaper monthly bill.
I think Sony changed their strategy and starting with the Z4, they will release one flagship per year I read that somewhere possibly here or on GsmArena.
I think that Nokia will announce the phone at MWC 2016, I can't wait.

These are the US LTE versions. Much improved but still little pricey because I can get the Z2 brand new for $400 and the Z3 dual Sim for the same price they're selling the Z3 for. Sony has always overpriced their items.

Oh, god no. Keep the magnetic charger. It is such a great Idea and I use mine every day on my Z Ultra and Z2 Tablet, Just add in wireless charging. Having all three options(standard usb, magnetic, and wireless) would be awesome and overall be great for add on accessory sales. Camera lens and software, I agree just because it needs faster auto-focus and a little better color reproduction on the z3's camera. It's still the best camera sensor available in a phone though barring camera/phones like the Galaxy zoom and the Lumia 1020. The only other thing I hope for is that they take a Motorola approach and put all their apps on the play store and go to stock android + extras. They are so close to it already that it would make sense especially with how much they already contribute to AOSP. If not stock android, offer different quick settings, settings, and status bar themes closer to stock android under the personalization options of the devices.

I'm personally against "going stock Android". One of the reasons I picked up Sony was precisely because I liked their UI much more than stock Android or any of the other brands skins.
The only thing I'd switch would be the colour schemes. Black backgrounds with white text would be better than white backgrounds with black texts.

But I'm all for them to offering different look options. Sony actually opened that up with the Xperia Themes initiative. I just wished more developers would take on that and for Sony to open up more part of the OS for personalization.

i go back and forth on the subject almost daily. There are plenty of things I like about Sony's rom, just some minor changes like reduced reliance on text to accommodate more experienced android users. A few icon changes to stock android icons(something they have already done with some of their icons), and yes, definitely switch to black backgrounds as it is so much easier on my eyes and simply more attractive to look at. I use so much of the stock sony apps on my Z2 tablet stock rooted that I miss on my z ultra running lollipop GPe. Remote play ps4, throw for my wifi and bluetooth speakers, and the sony ir remote being the most common (I realize the z ultra lacks an ir sensor, but if it had one, the stock ir app wouldn't work as the apk is not available like walkman, movies, and photos). I love lollipop on my z ultra(other than its light color scheme), but I switched back stock sony kitkat on my tablet for this very reason. Well, plus xposed. Lollipop isn't that great for landscape tablets either but that is another matter entirely.

Now, if only sony would add in an active display style feature to the flagship xperia phones... a man can dream, right?

My wife has one. The charging port is a pain to open and the port is in an awkward position. I understand the whole water proof idea but I don't think that's a necessary selling point. Do away with the port doors.

You are right. I don't know why Sony devices have so much low sales. XPERIA is good option beetween LG G3 and HTC One M8. Better performance than G3 and bigger screen and better camera than HTC. Also design is not ugly and battery is one of the best.

This is true. If you want to sell phones in the USA you have to deal with the carriers. The problem with that is they have to much power, they change the design, take out features, it's horrible. AT&T and T-Mobile are the least worst they take the international version and use the radio frequencies for their network. I wish buying a phone was the same as in Europe

Poor marketing. I have never seen a commercial during any popular television program, on a billboard, bus, they haven't sponsored any events that I know of, and have not seen any ads on the web even (and I don't run adblock) They sell so poorly because no one knows they exist.

But yeah, I was at my local T-Mobile store the other day to get a nano SIM for my Z3C, and the rep (who had a Z3) said that they barely sell any of them, because people just aren't familiar with the brand.

Sony phones are simply beautiful...yet underrated imo...
I feel they need to lighten their skin just a lil bit more and take things even closer to stock android like sense 6,
...make their UI look more organized including the notification tray quick toggles...
... and work on the overheating issues ...
just hope they make a powerful come back into the game this year...All the best Sony :-)